Gary Wagner vacuums the half of his home he rents out on Airbnb after guests had left Thursday. The West End homeowner started listing the space in July, and says it quickly was booked through October. “There’s a clear demand,” he said. Shawn Patrick Ouellette/Staff Photographer

When Bethany Field bought a multi-unit building on Hampshire Street in 2009, she inherited a tenant who didn’t pay the rent and smoked cigarettes inside the apartment.

She finally got rid of the problem tenant just as Airbnb was growing in popularity. So she opted not to find a tenant for another yearlong lease and decided to try out renting the apartment through the short-term online rental service instead.

“It’s been fantastic,” said Field, a marketing professional who believes she had one of Portland’s first listings on the site.

Now there are more than 250 rooms, apartments and entire houses in the city advertised on Airbnb and other short-term rental sites, almost all of them on the peninsula, with the highest concentrations in the West End and on Munjoy Hill. From a room to crash in to an apartment off St. John Street to a townhouse in the West End, current prices range from about $50 to $250 a night.

As the service grows in popularity, so do concerns about the safety of guests staying in the unregulated rooms, whether the service is fair to hotels and inns that are required to be licensed and inspected, and the impact on Portland’s already shrinking housing market. While not all of Portland’s Airbnb listings are former year-round apartment rentals, the opportunity for property owners to significantly boost rental incomes has clearly siphoned some apartments from the housing market.

Short-term rental hosts argue against more regulations, saying they wouldn’t be able to afford to upgrade the units to hotel standards. And, they say, the money they make from renting to tourists and short-term visitors is vital to their livelihood.

‘LOW-HANGING FRUIT’

The regulation of short-term rentals – part of the increasingly popular yet controversial shared-economy, along with services like taxi alternative Uber – is a conversation happening all over the world, and now Portland.

The City Council’s Housing and Community Development Committee took up the issue at a meeting last month and will continue the discussion Wednesday. Potential regulations posited by city staff include requiring registration with the city, limiting the number of days a unit can be rented and only allowing hosts to rent their primary residence.

Even if some regulations are adopted, Field might not be affected.

She only rents out her fully furnished, one-bedroom apartment during the summer, then leases it to a single tenant for the other nine months of the year.

“It’s sort of limiting how one could experience Portland, which would be kind of a bummer,” she said, noting that her guests prefer staying in homes to hotels.

She and her husband, Chris Korzen, who also has an apartment he owns on Grant Street that he lists on Airbnb, said they believe there are better ways to address the city’s housing crunch, such as pushing forward with a long-delayed housing project in Bayside that would add hundreds of units to the city.

He said he knows landlords who have stopped leasing apartments because they make more money on Airbnb and renters who’ve been kicked out of their apartments for the same reason – including his yoga teacher, who had to move to Falmouth.

“We have to have places for people who work in Portland to live,” he said.

Gary Wagner’s Airbnb guests don’t get a water view, just a view of his West End neighborhood, above. Nevertheless, they paid $199 a night this summer to stay there. Shawn Patrick Ouellette/Staff PhotographerStaff photo by Shawn Patrick Ouellette

HOTELS LOBBY FOR RENTAL RULES

Renters aren’t the only ones affected by the growth of short-term rentals.

Greg Dugal, executive director of the Maine Innkeepers Association, said there’s been a notable increase in the number of people who are choosing Airbnb rentals for stays of more than a couple of days.

Because they don’t have to comply with state regulations, he said, those property owners can charge much less than licensed lodgings. The association has supported bills in front of the Legislature that would have required short-term rentals to meet the same standards.

As for Portland, Dugal said, he would support a ban on short-term rentals, but doesn’t believe it’s politically feasible and thinks at least some regulations, such as the ones being discussed, would be a reasonable compromise.

“Regardless, there needs to be some form of oversight or there should be a ban based on National Life Safety Code violations alone,” he said.

Some Maine cities and towns have already taken action toward regulating short-term rentals.

Before Airbnb became popular, Cape Elizabeth began requiring permits in 2012 for rentals of fewer than 30 days, after the town received complaints about loud parties and cars parked along the streets as a result of short-term rentals.

Bar Harbor requires vacation homes rented for between five and 30 days to register with the town, get an inspection and pay a one-time $50 fee.

The Rockland City Council is taking up a proposal Wednesday that would require annual permits for short-term rentals, along with insurance, on-site parking and, for multifamily homes, an inspection.

Nationally, other cities are cracking down on short-term rentals as well. The city of Santa Monica, California, adopted regulations in June requiring short-term rentals to have a business license, pay a 14 percent occupancy tax and require hosts to live on the property while it’s being rented. In November, voters in San Francisco, the birthplace of Airbnb, will decide whether to limit short-term rentals to 75 days a year.

THE PERSONAL TOUCH

There’s no way to tell how many of the online listings in Portland are homes that are being rented out when residents leave, spare bedrooms no longer occupied by grown children or furnished apartments that would otherwise be rented to year-round Portland residents.

Some property owners who did take apartments off the year-round rental market report that while Airbnb is more lucrative than renting long-term, it’s also a lot of work to clean the apartments and wash linens between renters, as well as add the personal touches that garner good reviews and move more people to choose their place.

But owners also say they enjoy meeting new people from around the world and introducing them to Portland, providing a more personal perspective on the city than a concierge at a hotel would in recommending restaurants and worthwhile sights.

Korzen said he has even taken guests sailing with him.

Gary Wagner provides champagne and fresh strawberries for short-term guests who pay to stay in half of his two-family home on Brackett Street in the West End.

Days after he listed the newly renovated space on Airbnb in July for $199 a night, it was 90 percent booked for the next two months, with guests coming to town for everything from weddings to concerts to business conferences. He ended up booking the space every day in August, September and October, charging as much as $499 a night on the weekend of the Beach to Beacon.

“There’s a clear demand,” said Wagner, a Westbrook fire lieutenant who was inspired to try it out after seeing the success of his neighbors.

One of them, Ralph Baldwin, a retired English teacher, doesn’t even own the four West End apartments he lists on Airbnb. He rents them from the building owners. Although the rental income has not yet offset the upfront costs of furnishing the apartments, which he started listing in March, Baldwin expects to be in the black by the winter.

“It is strenuous, especially if you have a lot of laundry one day or three houses to clean,” said Baldwin, who hasn’t figured out what he’s making per hour.

“I’m anticipating this will enhance my bottom line,” which he said was hurt by the recent recession and the state cut to teacher retirement.

As to whether it’s helping to drive up city rents by taking apartments out of an already tight market, Baldwin said, two of his units hadn’t been rented out for years.

Plus, he believes the money his guests spend in the city more than makes up for it.

“I think one of the remarkable things about Airbnb is that it brings people into the city that might not come here,” he said, whether it’s because an Airbnb rental is more affordable than a hotel or more suitable to the guests to have an apartment where they “have space to gather instead of everyone sitting on the edge of a bed.”

Field said that in her five years of hosting guests through Airbnb, she knows at least five of them decided to move to Portland afterward.

Wagner thinks such good will has a lot to do with the depth of knowledge and personal touch that the hosts can offer.

On Thursday, Wagner cleaned up after the departure of a group of men from Germany who had come for the area’s restaurants, and stocked the fridge with local craft beers and cookies from Standard Baking for a couple from Texas arriving that night for their honeymoon.

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yathink2011

It’s unfortunate that they are unable to upgrade their apartments to hotel standards. Wasn’t that similar to the problem where 6 people died in a fire? Maybe they can get other taxpayers to pay for the upgrades and they can pocket the cash, tax free?

axion56

Hardly a fair comparison . Noyes St was in no way similar to Airbnb rentals . I’ve stayed at places friends have rented from Airbnb in Brunswick and waterfront Freeport , both elegant homes used off-season .

tet1953

Noyes St. is not an unfair comparison. Airbnb rentals run the entire gamut of living spaces. Some people even rent out vehicles and shipping containers turned into bedrooms in some places like Vegas.
Regulations exist to protect the buying public. I wonder if those who want to let Uber and Airbnb have free reign also want to do away with restaurant inspections, airline and railroad regulations? We’ll just trust word of mouth that Timbuktoo Airlines has an airworthy plane.

yathink2011

Well said. Thank you.

axion56

Noyes St a fair comparison ? , well maybe not . I doubt that would stay in business very long as an Airbnb rental . I question whether Ptld has too many Airbnb people that rent their vehicles , sounds like you imply they rent them out as “living spaces ” ? Air and railroad regulations aren’t quite in the same category , Ptld has done a major restaurant crackdown . Despite regulations and inspections , I stayed at one of Ptld’s largest hotels a few yrs ago ( it has since changed hands ) and it was filthy .

EM Burke

The man who owns Noyes Street is probably going to jail for at least, at least, a year. He was negligent, so far as I am concerned, and I live in his neighborhood and when the fire happened all I could say to the cops was that this was an emergency about to happen. I’d talked to the residents there any number of times, since I went by the house to get gas or milk, and I kept saying to them they were just asking for trouble, in various polite ways. The problem is that they were stupid young adults… just stupid, and the landlord was stupid.

End of that story, if not legally.

EM Burke

yathink2011

So they are all elegant? It is exactly the same as Noyes Street if it’s an apartment. Sorry.

reallly??

But they aren’t hotels …they offer a better and different and wanted mousetrap…

LogicalGranny

How are these better and different from an ordinary B&B?

methewaylifeshouldbe

No food is being served. It is simply a place to hang your weary head without breaking the budget.

LogicalGranny

It seems from the article some of these Airbnb rentals are very expensive (by my standards), and I do know there are ordinary b&b’s that are quite reasonable. Perhaps it’s just that breakfast is not included.

yathink2011

Reallly? Better? Different yes. Heroin is wanted by many also, does that make it ok?

Interesting choice of words that a California city is “cracking down” on property owners who rent through AirB&B, as if they were breaking laws and needed government to straighten them out. AirB&B and Uber are threats to big-government regulators who think they know better than we ordinary peons what we should be doing with our property, how we should run our lives. They consider themselves protectors of us little plebians who cannot figure out how to protect ourselves. Government knows more than the market, they think.

Or should we look at it as just a common “protection racket” like Mafia parasites who siphoned off their pound of flesh from every business on their turf. “Nice play you got here. Be a shame if anything happened to it.”

The city has to figure out how much housing it needs? How much rent is appropriate? As if ordinary people can’t do that for themselves. I say more power to Uber, AirB&B, bicycle sharing, car sharing — whatever people want to do. Caveat Emptor should be the only guideline. Let the buyer beware.

tet1953

Regulations exist to protect the public. When Airbnb and Uber are allowed to skirt those regulations, the public is not protected and existing businesses have an unfair disadvantage. I think Airbnb and Uber are great and they aren’t going anyplace, but they need to be regulated like every other business.

methewaylifeshouldbe

What a greedy bunch of pariahs these hotel chains have become. More government in our lives, more regulatory needs. Yes, that’s what we need to stifle those individuals trying to make it and not lose their homes. Particularly that litle old lady who’s on a fixed income but has a couple of rooms upstairs to help her pay her fuel and electric bills. When did Americans get so nasty and vindictive? Oh, that’s right, when we allowed corporations to run the country.

unclejunebug

So then, the residential roads that were never designed for hotel-type traffic wear out in one third their lifespan, who do you think will replace these roads, only the AirBnB renters? Hardly, Maine relies on federal welfare for road maintenance and the feds will simply refuse any road repair requests due to false zoning. So their are indeed conseqiences for improper zoning and using homes as hotels, you just can’t conceptialize them and only think of yourself rather than proper zoning.

anotheropinion

I’m failing to see how someone renting a single (or even multiple) rooms of their home via Airbnb equates to anything even close to “hotel-type” traffic. It’s a fraction of the percent of road use that a hotel would create. If it’s 1% I’d be shocked.

jenny_whyme

How many of the Airbnb land lords are informing their insurance companies and have adequate liability insurance?

Patrick

Probably all of them. You must not own property and are envious of those that do.

LogicalGranny

Can you cite an authoritative source for your contention that “probably all” Airbnb hosts have adequate liability insurance, especially those who are renters themselves, renting out the property of others? These re-renters don’t have much skin in the game. The property owners, on the other hand, are at risk of losing their property as a result of fire or other catastrophe.

methewaylifeshouldbe

Do your own research but first , really ask yourself if it’s any of your business. Why don’t you ask some of the hotels in your area how much insurance coverage they have?

LogicalGranny

You are the one making the claim so it is up to you to prove it; without an authoritative source, your claim is meaningless. How is it more your business to claim knowledge you don’t have than it is mine to ask how you know what you claim to know? This is a forum for comments.

sandy211

The owners I know can not afford to go with out coverage –they all have it and it is not cheep and require yearly inspections.

sandy211

Yes renting out other units is a topic.
If you collect the rent Maine law requires you to have a sales tax number
It requires you to collect the soon to be 9% bed tax and remitted it monthly
Requires you to have a business license
You are in the chain to be sued if you rent an unsafe unit
You are required to meet the Maine Radon rules
You are required to include that income received on your Maine and Federal taxes
You are required to send out 1099 to owners and file then with the state and Fed’s

patriotsnation

Air BnB is a reputable company. Are you really foolish enough to think that you can evade all state and federal tax requirements? Really? You realize how silly that sounds, right?

sandy211

Ask the State. I do not think the have any Idea how wide spread it is. Ask the state what the average rental rate is in different areas and they do not know. I would guess about 1/3 in my area are self rentals in my area and owners are from Cd, Mass and Conn mostly.

jenny_whyme

Seriously, dude?

Jumping to a conclusion based on no evidence… sort of a typical troll, I guess you must be.

Patrick

Babe,
Aren’t u jumping to the conclusion that I don’t have evidence. Name calling, how juvenile.

jenny_whyme

Bless your little heart.

Judging by the word “probably” in your post, it’s a pretty sure bet you got nothing… Please cite the source that “probably all of them” have adequate liability insurance.

BMM

The good news is that when the City minimum wage increases landlords can increase rents. That’s my plan. I’m hoping the minimum wage goes up to $15/hour because I am going to double what I charge for my six units in Parkside.

LogicalGranny

I don’t see the connection between the minimum raise increase and your doubling what you charge for your Airbnb properties. Are your guests people on minimum wage? I wouldn’t think minimum wage would allow for much travel.

methewaylifeshouldbe

Are you just a troll for the motel 6 chain or are you really just mean spirited enough to complain about someone making a few buck fro renting a room or two to pay a fuel bill or keep them from having to apply for food stamps?

LogicalGranny

I am not a troll for anyone; I’m interested in the facts about this phenomenon, which you don’t seem to know. I’m sorry if you’re one step from food stamps, but I’m not mean-spirited, and I’m not complaining about anyone; I’m asking questions. Why does that disturb you so?

patriotsnation

“I’m sorry you’re one step from food stamps”

And you’re not mean spirited? That’s laughable

sandy211

Who is paying for the EBT cards and SSI
THE WORKER

BMM

I said rents not Airbnb fees. I have rental units. Read the post next time, take time to understand it and then post your comment.

LogicalGranny

Oh, I’m sorry. I was under the impression the article and discussion were about Airbnb, not a minimum wage increase and your personal plans to take advantage of it with your rental units. Wait, maybe it is not my reading comprehension that is lacking.

BMM

Wow! Keep coming back for more. You are getting knocked down every time you post on this topic. Just don’t know when to quit. Try reading the story again. It is also a story about rental units. See if you can make the next connection on your own. Hint….I can’t stand it when government feels they have to regulate everything. Last time I reply. It is too painful trying to lead you down the path of understanding.

LogicalGranny

Who is getting knocked down is a matter of opinion.

i’m always right

you might want to stop commenting now–you sound dumber and dumber each time

LogicalGranny

Thanks for the advice, but having read many of your comments, I’m not sure I can rely on it.

patriotsnation

They are right. Your name isn’t very fitting

Denny crane

I’m pretty sure people are NOT coming to portland because of air B and B but are attracted to the low prices. What’s also excellent is each party rates the other so if the place is misrepresented and it sucks the person gives a lousy review. If the renter trashes the place smokes butts etc he gets a lousy review and no one will rent to him. Love air bnb and have only used uber when I need a cab. The hotels should get competitive instead of whining

sandy211

Yes the hotels should go under and stop paying their real estate taxes and let the rest of us home owners pick up the slack. Also their help , low paid as they are, can go back on EBT cards and we con also pick that up too.

Alex Wheels

airbnb folks also often hire cleaning staff

sandy211

At what rate . Do they pay under the table
? No SSI, Workmen’s comp which a hotel has to do , no 1099
Drop the dime union boys.

reallly??

Ah..these renters pay taxes too …the whiners simply don’t like he competition— a free market idea…intended to lower prices , and improve service …maybe they don’t like the idea of doing either!!!

unclejunebug

actually, having a high turnover rental in a residential community requires a higher level of city services: the local roads wear out faster due to increased traffic, noise ordnance enforcement also requires more of law enforcements time.
And with a growing and uncontrolled heroin problem in Maine some of these are drug houses.
Most communities in America have already dealt with AirBnB by limiting short term rentals to 28 days a year with only 21 consecutive days allowed by a single renter.
This controls traffic and noise.

sandy211

And in Maine if you rent more than 100 days to any one or more you MUST meet the Radon law.Are you doing that and that is public knowledg

methewaylifeshouldbe

What an uninformed remark. Air b&b’s do pay property taxes. They also collect and pay in the appropriate sales tax.

LogicalGranny

Could you cite an authoritative source for your contention that all Airbnb properties pay appropriate sales tax?

methewaylifeshouldbe

Yes,. I am the reliable source because I have an air b&b. You can check it out yourself by going to their site. They also Keep track of my earnings of which I get a 1099.

jenny_whyme

So, you can speak for yourself…

And you know all the others have because….. ???

methewaylifeshouldbe

It’s none of my business what others do, why do you think it’s yours.

jenny_whyme

So, you can’t back up your assertions…

methewaylifeshouldbe

Exactly what “assertion “did I make?

sandy211

Because I pick up the slack–I pay the taxes for those who do not. I have dropped the dime and more of us should as the Government fails at their job

jenny_whyme

You were the one making assertions about the actions of other people.. Making claims you can’t back up with any thing like data or facts.

Why do you keep deflecting?

methewaylifeshouldbe

What on earth are rambling on about? Do your own research if you don’t believe me. I am not deflecting when I understand that some busy body, that appears not to have anything going on their lives wants to stir the pot. You must be a Republican.

jenny_whyme

Another assumption based on no evidence… What am I going on about? You made an assertion based on no evidence (which is kind of what Republicans and Libertarians do.)

Deflection is what people do when they run out of arguments, can’t provide evidence for their assertions or can’t admit when they are wrong. Fits you to a T,

LogicalGranny

I said an authoritative source, and you, I’m sorry to say, are not an authoritative source. I don’t know who you are, and having an Airbnb rental unit, as you say you do, does not mean you know what every other renter does.

methewaylifeshouldbe

Then, by all means stay ignorant on facts or do your own research.

LogicalGranny

I’ll probably just stay ignorant, like you; only I won’t claim to know what I don’t know.

methewaylifeshouldbe

I’m done with you. Why don’t you go do something important with your life instead of posting arrogant and ignorant comments.

EM Burke

Thank you. I also get my 1099, and I’ve just set up an account with the State of Maine for the REQUIRED 8% sales tax, for any goofball who doesn’t pay attention. It is a required thing in this state to pay the 8% sales tax on hotelier’s fees, of which Airbnb accounts are included.

Anyone who thinks that local taxes override State taxes has just not thought things out, or is fundamentally something other than ???

Pay the taxes. Or see losing Airbnb, because the bigger businesses will be pissed off and rightly so.

E

yathink2011

Sure they do.

sandy211

The Maine tax code states the one who collects the money collects the taxes. And yes in SOME states and cities have made been made by law to collect the bed tax BUT NOT IN MAINE

sequoiaqueneaux

I hope you are fighting hard for the raise in the minimum wage since you suffer from a pathological obsession over EBT cards.

Patrick

Needless government intrusion. In the words of President Reagan,”the words I dislike the most are …Iam from the government and Iam here to help you”.

sequoiaqueneaux

I bet you are a typical Big Government Conservative who thinks the government should dictate who can marry whom, force women to give birth against their will, execute people, etc. Conservatives want the most oppressive and intrusive government imaginable.

Tardis1

“… doesn’t even own the four West End apartments he lists on Airbnb. He rents them from the building owners.”

That might be violating his rental agreement. A lot of places won’t let tenants sublet.

axion56

That’s between him and the owners , it certainly won’t continue after this article is published if it is in fact a violation .

reallly??

what they don’t iike competition all of a sudden?? the life bread of the free market?

sandy211

It is not a free market when on follows the rules and one group does not.
It is more like a fair trade treaty the US enters

sandy211

State courts across the country have held short term in a privet home are a business.
Now just think of all the actions the Federal, State and local Governments should be taking in this regard. Now move on to privet relationships such as insurance, Condo rules.

Lynda M. Morgan-Moore

I feel as if the big issue here is that the hotels now have competition and the city feels as if it is not getting it’s “fair share” of the money in whatever form that maybe. I am all in favor of Airbnb. It has allowed the “average American” a means of travel that doesn’t break the bank. Sometimes I wonder why when a good bargain, such as Airbnb, Uber, etc. arrives on the scene and makes things affordable for a change the powers that be get their undies all in a twist and want to price it out of the market. Is this a way of maintaining the exclusivity of the 1% and the majority be damned?

i’m always right

“exclusivity of the 1%”??? we’re talking about hotel rooms here, not million dollar mansions..besides, how many Air Bnb rentals could there be compared to hotel rooms

Lynda M. Morgan-Moore

Dear I’m always right, I surmise I did not make myself clear. I am all in favor of Airbnb. The amount that hotels charge per night, per room is exorbitant, especially in Maine, in the summer; hence the “1%’ remark. (Albeit, exaggerated.) These inflated rates are certainly a hindrance for the average American family of 4 to 5 that would like to travel. I hope this offers clarification.

sandy211

Dear Lynda it was your choice to have 4 or 5. Get one of the EBT cards I pay for

Lynda M. Morgan-Moore

Dear sandy211, I guess I was sorely mistaken when I opined that this was a forum for rational, thoughtful debate and exchange of ideas, as proffered by your reply which is clearly a personal attack and has nothing to do with the subject matter whatsoever.

AmusedInMaine

Lynda, Sandy211 has some sort of personal problem that has him/her all wound up in knots over taxes that don’t exist and people that park on his/her street. Ignore.

patriotsnation

So, you’re aware that state and federal taxes are paid out while using Air Bnb, correct? The question at hand is whether local municipalities, are able to collect money off this service. Additionally, it is being investigated whether additional fees that are incurred by hotels and motels, should also be paid for Air BnB. This has absolutely nothing to do with the taxes that you pay. You are hilariously off topic on this. Work on that anger management.

AmusedInMaine

What an idiot. A mother and father with two children is a family of four. Pretty common, so why is that EBT card-worthy, and why the insult? Get a life.

sequoiaqueneaux

You don’t pay for squat. Sit down and stop trying to make yourself a victim. Gross.

Tardis1

It is partly revenues, partly consumer protection. The regulations and taxes often protect industries (limited number of cab licenses for example) and bring in revenue to the government.

On the flip side, the regulations on hotels and cabs were put into place (in part) to
protect consumers. Airbnb and Uber lack those regulations. You can be sure that if there were a few ugly incidents to occur with an Airbnb rental, people would be clamoring for regulations and for the government to “do something.”

sandy211

Our City drove Uber and illegal rental fines are equal to the rent plus court cost.
As long as I pay taxes to support EBT cards, PPH I want only tax paying business around. Those who do not pay their taxes are cheating me friend

sequoiaqueneaux

Yes, somehow you make it all about YOU and and how YOU are some kind of victim. Let me take a wild guess…Republican?

Thistle

We just hosted a couple from Australia who are traveling the U. S. on a motorcycle. We connected through an online motorcycle group I belong to and not airbnb.

They were with us for a week and my wife and I really enjoyed having their company so much we have been discussing using airbnb to list two bedrooms that have not been used for years.

People who are traveling for pleasure do not want cookie-cutter cubicles at commercial hotels/motels. They would like the added conveniences of being able to cook and of staying in a more personalized, homey place.

I agree there are some considerations that need to be addressed – parking spaces, for instance – but regulating people’s homes in the same manner as commercial operations would be counterproductive. Apartments already have certain standards that must be met, so we are really debating only the use of personal property.

sandy211

Did you pay your bed tax? Or have you taken advantage of the two week tax period break. You can rent your cottage for two weeks with out having to collect the bed tax. I would like to know how the State knows which 2 weeks you rented. Please do not forget the courts have ruled you are commercial, a business, when you rent short term weather you are cookie shaped or shoe box shaped . And I am paying for your profit so why should I not drop a dime on you?

AmusedInMaine

You really need to watch your blood pressure or you’re going to have an aneurism. You have wailed incessantly today on people paying the bed tax, when there is no such thing in Maine. Bed taxes are LOCAL sales taxes on lodging. Maine has no local sales taxes at all. Any taxes paid on short term rentals of rooms and cottages goes to the state, not the town. Please give it a rest. And also stop with the “I will drop a dime” nonsense — it only makes you look silly.

sandy211

Yes it is not the technical name which is found here:

1. TAXABLE RENTALS

The Maine Sales and Use Tax Law imposes a tax on “rental of living quarters in any

who owns, manages or operates, in the regular course of business or on a casual basis, a hotel or

who collects or receives rental payments on behalf of the owner, manager or operator, must

register for and collect Maine sales tax on the rentals. A property does not have to be advertised

or held out to the public at large in order for rentals of the property to be taxable. (See 36 MRSA

§ 1754-B)

2.

AmusedInMaine

Wow. I just don’t know what to say.

ihavereturned

Don’t say anything, maybe “it” will go away

sandy211

That is what was said on 9/10.

sandy211

just follow the law or work to chance it. Why don’t you know what to say?

sandy211

They are not local taxes but if they were you would see more enforcement if your town was getting it’s cut.

sandy211

Are you working at medicine without a permit. My BP is just fine.

sandy211

But each town get a part of the sales taxes collected in that town back to help offset the cities needs. If all taxes were paid then I would have more to spend on my self or do you want to pay my share? Silly is the person who does not stand up and pays taxes for some one else. The government wants you to drop a dine on drug dealers , speeders on the Main Turnpike and dogs locked in hot cars . Why not on tax cheats?

sandy211

EXEMPTIONS

A. Casual Rentals for fewer than 15 days. In most cases, a person who has only

one rental unit, such as a room, a single camp or a condominium unit for rent and rents it

for fewer than 15 days each calendar year is not considered a “retailer” and is not

required to collect sales tax on those rentals. (See 36 MRSA § 1764) However, if the

property has been placed in the hands of a real estate agent or other person engaged in the

business of renting or managing rentals of living quarters, that agent must collect and

report sales tax on the rental, regardless of the length of time the property is rented.

I live in a condo on a sand south coast of Maine. So does the woman next to me, her unite is identical to mine, but she uses the building management to do the 2 wk. rental. Both the rentals are listed at $ 4000.00 per week. That is 640.00 the state is missing out on. Who is making that up. And one renter gets screwed by the State. Welcome to Fun Land where all is unequal as Mother Justice is blind.

EM Burke

Very interesting. I was not aware of this exemption. I’ve just sent my last 2 quarters tax to the State of Maine. Hmph????

EM Burke

Not commercial, idiot.

jenny_whyme

I see a whole section on insurance for property damage done by the guest..

But if you think you’re covered by airbnb if a guest falls down the stairs and sues you, you might want to check with your lawyer.

methewaylifeshouldbe

I and this effects you, how?

jenny_whyme

I’m having a conversation.

You made some assertions you aren’t able to back up. Try to stay on topic. Deliberate deflection doesn’t look very good.

sandy211

I may trip on your side walk and you insurance will not pay as you run a business so I the go after you. Now I own your home.
I do not have to be a guest at your home=busness

sandy211

No

sandy211

The case law makes short term rentals a business.
When you rent through a program such as AirB&B you have a legal agreement, an obligation to the renter just like a motel would.
You owe to the Fed to claim it on your federal income tax return which is not dependent on the State you live in and the state the rental is in. You will have recapture to pay upon the sale of your business. You can not enter in to a bank buy back. The bank can and will enter into a foreclosure. Any insurance claim can be denied payment by your insurance company for bodily injury, natural damage such as fire, or flood. You also have to Government rules for the disabled, and discrimination. And what do you do when then will not move out–hire a lawyer? AB$B had a big problem with this on the west coast. To have a complaint brought against you for a disabilities violation brought against your rental for damages the person does not even have to live their. There is a lawyer in South Florida who has made a nice living out of going after big chain motels.
What is the small home owner going to do? Motels charge big because they have big problem. What are going to do when you current guest will not leave your illegal rental for an other day. And the new rental just arrived in the in their rented car expecting a nice clean , soft bed. Do you think the city will help with you illegal rental – not. Do you think the State will help when you have no sale tax number – not.
Well are you ready to call the local hotel to get your guest a room for the night, pick up the check for the meals they could not prepaid. Most motels and hotel hold out a room or two to cover this –can you the little guy do that. It could cost you big time when your neighbor drops a dime on you for your illegal rental after all they are picking up the taxes you are not paying.

William Higgins

Can the homeowner claim business use of part of the home, as one can using a dedicated office as a home business..?

sandy211

The rules are clear

me

You should adapt to the times, your rant doesn’t make sense.

sandy211

It is not a rant it is the State law and it should be changed or enforced. Now tell me what is a rant?

AmusedInMaine

Trust us, it’s a rant.

sequoiaqueneaux

You forgot to whine about EBT cards and how you are such a victim and blah, blah, blah.

EM Burke

If you don’t like the terms of where you live, try elsewhere.

No one is forcing you to live where you do.

You knew, or should have known, what you were entering into, when you either signed a lease or whatever you did.

You’re probably just feeling out of sorts because you’ve not examined your terms well enough.

EM Burke

Inept and very very poorly written reply. Try using English.

sandy211

Now as for the State it is taxes, roads, safety systems which I support and you are gaining from. The big guys are paying but you are not. I am not dropping a dime on the motel in town but I will on you. The Maine revenue will take unnamed tips and investigate them. I can not find a parking space when I get home at 3 PM. The cottage next to me needs to have the lawn but the owner who lives in Conn. has the 3 bedromm house filled with 10 guests ( 3 bedrooms=6 and 2 couches in the illegal basement make 10) and their 5 cars have taken over my street. And my neighbor to the other side with a big drive way put his 3 cars in the street so as to block the campers from the camp ground up town so they have no beach access. What about the trailer which was parked out in back and rented on AB&B this summer. It was on the tri town bus rout subsides
by the local tax payers and only a buck to get to OOB. Why should I help out your rental
when you profit from the rental and you are in a residential zone- town please wake up.
I will drop the dime.
Sure some towns inspect their rentals. If you are in OOB there is one inspection done 30 years ago just how safe is that. And if you get 300.00 per night you can pay for a yearly safety inspection. I do not as a member of the town state by way of a license 30 years ago say to the public my town is think of you and my safety.
Every town should have an annual safety inspection like the hotels, have the sales tax number for each rental and a local person at the ready when the smoke alarm batteries at 2 AM to fix it and not walk me up after my hunt for a parking spot and working at a second job to pay for the ever increasing real estate taxes.
By the way if you grant a license Mr. Town you should be able to take it away.
You can do it to a motel why not a rental business? I have never heard of one of my rental neighbors paid a visit by Augusta to check on Bed Tax compliance like they check on the motel owners. Maybe they need to be seen in the neighborhood going door to door–we all know who is renting and who isn’t. It is funny how some owners have all these “relatives” who visit their cottage while the are away on a trip to Europe. The Governor would like to shift income taxes to sales/bed taxes. Where are the tax compliance people?
We are not inventing a new wheel. Other tourist states have already have done the heave lifting for establishing the rules to cover this.

sandy211

The State of Maine does not consider FREE as tax exempt. If you let some one use it for free you the owner are still required to pay a bed tax paid at the going rate for the area I will still drop the dime—There is no free lunch please tell all your relatives

EM Burke

Dear Sandy211: I still do collect the required Maine hotelier’s 8% tax on all my Airbnb rentals, and have advised all my Airbnb friends in Maine to do the same.

I’m not against taxation: One can’t expect to live well–to get the roads repaved, plowed, etc, without paying taxes. I don’t have children, but I still want the children of my state to enjoy the best education I, as a resident, could provide.

Best regards, EM Burke

JdL

Government thugs want to stick their big fat noses EVERYWHERE. They should be flipped off.

sequoiaqueneaux

Good grief, grow up or move to a government-free paradise like Somalia. No regulations! Woo–hooooo! Let’s see how long you last.

DickTheHick5

You’d have to be pretty dumb to get busted by the state on an airbnb room. Just deny everything. Use a fake name. Job done.

And the average rent in Portland is skyrocketing to the point only wealthy people and subsidized housing people can afford apartment and house rentals. But that is not addressed in this article.

StevenMajor

Are the owners of these rentals legally responsible for the behavior of their “guests” while on the property? What happens when a guest accidentally starts a fire that causes death in an apartment building?